Google, Netflix and the future of live football

The Australian sports broadcasting landscape could be set for its biggest shake-up in years, with the AFL and NRL reportedly in talks with companies like Netflix and Google as potential broadcast partners.
The AFLâs current broadcast deal ($1.25 billion for five years between Channel Seven, Foxtel and Telstra) expires at the end of 2016.
The NRLâs $1.2 billion contract with Channel 9, Fox Sports, Telstra and Sky Sport (in New Zealand) expires a year later.
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But are the AFL and NRL just using names like Google and Netflix to drive up the price Telstra has to pay for the digital rights?
Or is the prospect of watching live AFL games on YouTube in season 2017 a genuine possibility?
Brett Hutchins, an associate professor at Monash University and co-author of the book Sport Beyond Television, thinks it is unlikely Google or Netflix will be major players in this round of negotiations.
âItâs about creating competitive tension, i.e. bringing in some external players who might shake Telstra up â whoâve been a 200-pound gorilla, the only ones who can own the digital mobile rights,â Mr Hutchins told The New Daily.
âThe fact that at the moment it appears the NRL and the AFL have approached these people, rather than the other way around, (I think) what youâre seeing is them trying to get Telstra to cough up.
âI think whatâs really going on is saying there are other people out there who may be able to do this.â
But Mr Hutchins feels the next round of negotiations will see a shift in the way sport is broadcast.
âIf theyâre not real players this time, theyâll be real players next time,â he said.
âThey are real players in the sense that thereâs a lot of activity going on around this internationally.
âYahoo bid a reported $20 million to live stream an NFL game from London in October. They actually beat out Twitter for those rights.
âThereâs a realisation that with over-the-top services, like Netflix and live sport streams, that the futureâs on its way, if itâs not here already.
âYouTube did the IPL in 2009, they did the Copa America football championships in 2011.
âYouâve also seen UFC make streams available for some lower profile events on Facebook.â
Former Foxtel CEO and AFL commissioner Kim Williams has said âtelevision as we know it will change completely in the next decadeâ, while AFL CEO Gillon McLachlan said the next broadcast arrangement would be âvery differentâ to the existing one.
Mr Hutchins also feels that sweeping change is on the way.
âFor sports like the AFL and the NRL, youâre going to see more and more hybrid models,â he said.
âTheyâre going to see if they can move it around, particularly to attract global audiences.
âPeople donât tend to think about the action sports, but Red Bull TVâs been at this since 2006 â broadcasting all sorts of events. Motocross, something called Crashed Ice, the Air Race.
âItâs an incredibly successful model.â
Channel 10 CEO Hamish McLennan said the prospect of Google entering the sports broadcast sphere was âscaryâ.
âThey have got deeper pockets than all of us and I think that is part of their mission,â Mr McLennan told Fairfax.
âThey have got virtually unlimited resources and they can afford to lose money to achieve a commercial outcome over time.
âItâs reasonable to think Google now or in three yearsâ time is a real live competitor for sports.â
Mr Hutchins agrees TV networks should be worried.
âBloody right they should be,â he said.
âThis deal you may see little things carved off, but itâs the one down the track.
âGoogleâs been professionalising the content that appears on that platform over the past three or four years.
âIt used to be a user-generated content site. Itâs increasingly a hybrid between professionally produced media content and what people like uploading.
âTheyâve been working away in this area for quite some time.
âPeopleâs habits donât change as quickly as the technology, and youâre starting to see those habits catch up.â








